A Subject of DU - B.Com, BBA & MBA in various universities

Unit I:
Introduction to International Business: Globalization and its growing importance in the world economy; Impact of Globalization; International business contrasted with domestic businesses –complexities of international business; Modes of entry into International businesses. International Business Environment: Economic, demographic, cultural and political legal environment.
Unit II:
International Trade: Theories of International trade - Absolute advantage theory, Comparative advantage theory, Factory proportion theory and Leontief paradox, Product life cycle theory, National competitive advantage theory; Tariff and Non-Tariff Barriers. BOP- Balance of payment account and its components.
Unit III:
Regional Economic Integration: Forms of regional integration; Integration efforts amongst countries in Europe, North America and Asia: EU, NAFTA and SAARC. International Economic Organisations: WTO, World Bank and IMF.
Unit IV:
International Financial Environment: Foreign exchange markets – participants and functioning; spot and forward rate quotations, direct and indirect quote, arbitrage, hedging and speculation; Foreign exchange risk and exposure. Foreign exchange rate: exchange rate determination, types of exchange rate systems - fixed and flexible, currency convertibility, soft peg, crawling peg, free float, managed float.
Unit V:
Foreign Direct Investment: Types of FDI - Greenfield investment, Brownfield investments, Merger & Acquisition, Strategic alliances; Benefits and drawbacks of FDI. Contemporary issues in International Business: IT and outsourcing and its potential for India; environmental sustainability in international business.

References :
1. Bennett, Roger. International Business, Delhi: Pearson
2. Charles, W L Hill and Jain, Arun Kumar, International Business, New Delhi: TataMcGraw Hill